Independent power company Entegra Power Group LLC filed a pre-packaged bankruptcy and expects to emerge from chapter 11 under the control of its junior secured lenders, according to court documents, Reuters reported yesterday. Entegra owns El Dorado, Arkansas-based Union River Power Station, which has an operating capacity of 2,100 megawatts, and Trans-Union Interstate Pipeline, a 42-mile natural gas transmission facility that supplies the station. The company is also an indirect co-owner of Gila River, a 2,334 megawatt power plant in Arizona. The company's second-lien lenders, who are owed $237 million, are set to receive a combination of new third-year, Series A second-lien notes and cash that would be raised from new Series B second-lien notes. Entegra's third-lien lenders will exchange their $1.3 billion in claims for $550 million in new third-lien debt and controlling ownership in the company when it emerges from bankruptcy, according to court documents filed on Monday.
http://www.reuters.com/article/2014/08/05/entegra-power-bankruptcy-idUS…
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http://bookstore.abi.org/when-gushers-go-dry-essentials-oil-gas-bankrup…